Nearly three-quarters (74 per cent) of Canadian employers have reduced the size of their office footprint by embracing hybrid work and allowing employees to work in office and co-working spaces closer to where they live, according to a new survey by International Workplace Group PLC.
The survey, which polled more than 250 Canadian employers, found in addition to savings from adopting hybrid work, roughly half of businesses have reduced office-related expenditures on utilities (49 per cent) and supplies and equipment (48 per cent). These changes have led businesses to save more than $400,000 a year since adopting a hybrid working model.
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As a result of savings from a reduced traditional office footprint, companies reported passing these savings on to their employees through increased salaries (38 per cent), increased employee bonuses (31 per cent), enhanced benefits and perks (27 per cent) and one-off cost-of-living bonuses (23 per cent).
Nearly half (48 per cent) of respondents reported paying less in expenses for staff travel and the rise of video meetings has saved businesses money too, with 34 per cent saying they spend less on hosting clients and prospects.
Notably, 70 per cent of employers said switching to a hybrid working model increased their workforce productivity, while 66 per cent said it reduced staff turnover. Eight in 10 (79 per cent) reported their workforce is happier since the implementation and 64 per cent said they were able to hire better staff.
“It’s encouraging to see that businesses are translating their hybrid working savings into real benefits for employees,” said Terri Pozniak, executive vice-president and Canadian country manager at IWG, in a press release. “Businesses are realizing that not only does hybrid working make sense for their bottom lines, it also makes their teams happier and more productive.”
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